The first task is to analyse the feasibility of Introducing a new product that is different from the company's current line of business. The marketing team is suggesting Introducing a baby monitor with a camera and a voice sensor that can turn on soft muske automatically. They thought that this product can be valuable addition to the baby packs that they offer to their customers. The marketing team has undergone a market research last year that costed the company $150K in order to verify the potential benefit of the new project. They worked with the operation department to come up with the estimated cost and revenues of this new product They estimated the selling price per unit to be $170 at the beginning. And when the competition catches up after 2 years in the 30 year), they anticipate that the price would drop to $110. The variable cost per unit is 564, and total fed costs are $45,000 per year. This project requires $20,000 in net working capital at the beginning Subsequently, total networking capital at the end of each year would be about 15% of total sales for that year. It will cost about $900,000 to buy the equipment necessary to begin production This investment is primarily an industrial equipment and falls in Class 8 with a CCA rate of 20%. The equipment will be worth about $100,000 in 8 years. Since this equipment will be purchased after January 2019, then the accelerated Investment incentive (All) can be applied Year 1 2 3 Unit Sales 3000 5000 6000 G800 6000 S000 0000 5 6 7 3000 The te of the project Store not put this tot debt to finance this project, shes the banks will not be that to finneware without any track record. Therefore this proyecto be 100 quity faced The first task is to analyse the feasibility of Introducing a new product that is different from the company's current line of business. The marketing team is suggesting Introducing a baby monitor with a camera and a voice sensor that can turn on soft muske automatically. They thought that this product can be valuable addition to the baby packs that they offer to their customers. The marketing team has undergone a market research last year that costed the company $150K in order to verify the potential benefit of the new project. They worked with the operation department to come up with the estimated cost and revenues of this new product They estimated the selling price per unit to be $170 at the beginning. And when the competition catches up after 2 years in the 30 year), they anticipate that the price would drop to $110. The variable cost per unit is 564, and total fed costs are $45,000 per year. This project requires $20,000 in net working capital at the beginning Subsequently, total networking capital at the end of each year would be about 15% of total sales for that year. It will cost about $900,000 to buy the equipment necessary to begin production This investment is primarily an industrial equipment and falls in Class 8 with a CCA rate of 20%. The equipment will be worth about $100,000 in 8 years. Since this equipment will be purchased after January 2019, then the accelerated Investment incentive (All) can be applied Year 1 2 3 Unit Sales 3000 5000 6000 G800 6000 S000 0000 5 6 7 3000 The te of the project Store not put this tot debt to finance this project, shes the banks will not be that to finneware without any track record. Therefore this proyecto be 100 quity faced